Useful Advice When Applying For Credit Cards
Posted at by CreditWiz on category Credit CardsConsumer advice is valuable with regard to credit cards. This article has many suggestions on how to understand and utilize credit cards successfully. The problem with most is that they have credit cards and lack the knowledge to use them prudently. Debt is the end result of this issue.
You should try to have at least two open cards or possibly three open credit accounts. This helps build up your credit, particularly if you pay your cards in full monthly. However, if there are more than three cards to your name, a lender may think that’s no good when looking at your personal credit bureau report.
Always report any fraudulent charges that you notice on your credit cards as soon as possible. This gives the credit card companies the most opportunity to catch the person responsible. This will help ensure you are not liable for any fraudulent charges against the card. A quick call or simple email may be all that is required for you to report a fraudulent charge.
Carefully study all of the small print. Get every last detail from anyone who is offering you a credit card. Know the details about interest, like the rate and dates. Also, look into the amount of fees that can be assessed as well as any grace periods.
The reason why card companies suggest minimum payments is simply because this amount is how much they want you to pay in order for them to get the largest amount of money from you as possible over a longer period of time. Always make more than your card’s minimum payment. Avoid paying interest as much as possible in the long run.
You know that paying your credit card bill late will incur a penalty, but you should remember that there is a penalty for running your balance over your credit limit, too. Incurring debts beyond your credit limit can have negative repercussions on your credit score as well as expose you to expensive penalty fees. Keep an eye on your balance and exercise more caution as you approach your credit limit.
Be vigilant when looking over any conditions and terms. Now days, many credit card companies will change their terms with short notice. These changes may be buried within hard to understand legal terms. Just look through everything to find such changes. These may include changes to rates and fees.
Do not apply for any credit cards by mail if your mailbox is not lockable. Many credit cards get stolen from mailboxes that do not have a locked door on them.
Keep your receipts from all online purchases. Keep the receipt in a secure location, and when your credit card bill arrives, check that the online retailer charged you the right amount for the item that you purchased. If the amount is not correct, contact the vender and dispute the charge immediately. Doing so helps to prevent overcharges on purchases.
Always make certain you are monitoring your credit score. The benchmark score which is considered good by lenders is 700 or above. Make smart credit decisions so that you can get to that level, and maintain it once you get there. At a score of 700 or higher, you’ll receive the best credit offers with the lowest rates.
In conclusion, getting in trouble with your credit cards is far too simple. A few too many cards, a few too many expensive purchases, and before you know it, you are in trouble! The advice you have read here can help you avoid these problems and keep your credit history healthy.